All Forum Posts by: James Felder

All,

Thanks again for all the feedback. I'm learning a lot and have more questions. First, while I'm more comfortable with the stock market I'm trying to explore other options. Being a landlord has been fine thus far and I have no problem with continuing to be a landlord. I just want to make sure I'm making good financial decisions. I've invested in the stock market via mutual funds so properties are a way to diversify my assets. I'm intrigued by the idea of pursuing a cash out refinance, but I'm not sure how to best approach this. With a cash out refinance how much money should I seek? Should I seek a 15 year loan? What's the normal interest rate for cash out refinance? If I'm seeking a cash out refi should I worry about cash flowing the property after I take the loan. Maybe, I take a five digit lump sum cash out and now my mortgage payment/cash out loan/HOA are now all equal to what I charge in rent. Is this fine?

I like the idea of a 1031 exchange, but I'm not sure if I can identify another property to buy within 45 days of selling my current property.

I drove through the neighborhood where my condo is located today and they are about to break ground on a few single family homes in the area.  The area has grown alot in two years.  They have eateries they didn't have there two years ago.  They also continue to build other eateries places to shop.  The area is definitely growing. 

Thanks for the replies thus far. I don't really need the cash but thought about cashing out and taking advantage of the hot market. I thought about taking the money and using it to buy a few mutual funds. I'm not sure I want to buy investment property out of state. I would prefer to self manage within state. I haven't given much thought to using the sales proceeds to purchase additional properties. Based on the feedback thus far, maybe I should. As stated earlier I have no big plans for the money. I was just going to invest it. I also never considered a HELOC. Ultimately I just want enough money to seek out early retirement in 15 years when I'm 50. I'm pretty good at saving and want to make sure I make the best financial decision possible regarding this property so I can reach my goal.

I'm a new member and would really appreciate everyone's feedback. I purchased a condo in 2010 for $155k. The property was a foreclosure. In 2005, the original owner purchased the condo for $305k, but foreclosed on the property. The condo was built in 2005. We've had tenants renting the property over the last four years but they informed us they will not be renewing their lease. Our mortgage/HOA is $980 a month and we charge $1625 a month for rent. As you can see, we have nice cash flow. We consulted with a realtor as we are considering selling and learned we could get $335k if we sold. What would you do in my situation? Would you sell or continue to rent? We don't mind being landlords and the experience has been great thus far as we haven't put much money into the condo. I'm not sure if we will have the same luck with new tenants. The area is a highly desirable area and could easily rent. I'm just not sure if I should keep the property since it has appreciated so much. That's a lot of money to leave on the table if we didn't sell. Again what would you do?